Earlier quoted context omitted.
The best part about it, I automatically write to three caches whenever I write to GAE datastore. One to the instance, one to memcache and one to Google's edge cache. It's just part of the GAE api, you get it for free.
Do you have a link that support your third assertion? How does writing to the GAE datastore also put the entity into the edge cache?
self.response.cache_control = 'public'
self.response.cache_control.max_age = 300
Does the trick